Now Playing

8/19/2014 10:50AM

Why Apple Could Continue to Shine

Apple’s stock has risen nearly 30% over the last six months. As the September launch of the expected iPhone 6 nears, Barron’s Jack Hough joins MoneyBeat to discuss why he thinks that Apple is still a good deal now.

This transcript has been automatically generated and may not be 100% accurate.

... been been been been been been been ... about a specific company when you've certainly heard of just six months ago ... Apple shares are down and adults and up and Barron's Jack Kallis said ... that were put to good to feel sick slips on day up twenty nine percent they still look like a good deal Jack says ... the manager tells exactly why Jack how if you like to call ... Yellen will drop the stock at twenty percent Upside unknowns ahead of our expectations almost thirty percent when that happens willing to do a follow up story and say hey you know it's time to bail out ... for this to look like a good deal here ... and it's soo what's happened with Apple is ... the earnings expectations have risen ... just the discusses the share price so did the stock still trades at a discount to the broad market will determine its cheaper than Micra soft rolls of Guernsey hitter for about fourteen times earnings right now ... and it's a company that sits on a cash stockpile that's worth more than a quarter of its stock market values but ... it still does look like a fairly priced awkward and were moving into ... the big is that that most wonderful around the year for Apple which is the new I phone I get into this company ... they make a ton of money we understand that ... but they also had a reputation for completely ... outstripping anybody's expectations of what they're going to do in terms of numbers ... in terms of products to the fact that change ... to an extent about all that is quite is by as much enthusiasm behind this new I phone is the has been in the past ... but that doesn't mean a wall piece of art I disagree on that point to this particular from coming out this is going to be a big deal either to get the one the biggest operates the country's history ... because as the Lord your scoring has a very simple thing ... the use of looking for for a long time and we look at surveys we were about the survey from investment company Robert there ... and when you look you see that ... the number of people who expect to upgrade that phone or I phone uses is running much higher than average even people were using Android phones ... you know the obvious how a territorial some these headphone cable to be of that is the commander ... so as I enjoyed users if they're like papaya and I've only seen all ask if they're likely to buy one with a larger screen what comes out as they figured a higher number could pose that maybe I might feel if I think they can get ... some people coming over from Andhra to buy that I thought I think it's a big upgrade cycle to look diverted been doing well for several quarters without an obvious this was a company that can do well one of big product comes out in MD twenty yet I it with leave it there